INDEPENDENT ALT LONG SHORT EQUITY FUND

The Independent Alternatives Long Short Equity Fund

The fund is a moderate risk long-short equity fund, investing in domestic equities, global equities and derivative markets. The fund follows a rules-based investment approach, which comprises of a quantitatively driven long-short equity portfolio, overlaid with derivative hedging strategies to ensure outperformance during equity market drawdowns. The fund targets low volatility with a maximum net long exposure of 40%. Average exposure ranges between -20% and 30%.

The fund’s underlying objective is to hedge investors’, who are typically significantly exposed to the equity market. The fund will always maintain tail risk protection to protect investors when they need the protection the most. The fund is focused on absolute returns and has a targeted annualized volatility of 5%. The fund aims to deliver net returns that exceed cash rates by 5% per annum, over a rolling 3 year investment period.

Investment team

The fund is co-managed by Grant Hogan and Tatenda Chapinduka, who have more than 28 years’ collective hedge fund management experience. Tatenda holds a BBusSci in Actuarial Science degree and is a CAIA charterholder. Grant holds a BCom (Hons) in Economics and Finance. The two have worked together for over 14 years, having first met at university. All non-core activities are outsourced to best-of-breed independent service providers. The business is owner-managed, empowered and the investment managers are significantly co-invested in the fund and the business.